Mexico Auto Production Up 19.5%

Mexico’s car production in August was up 19.5%, compared with the same month a year ago. The rise was driven, yet again, by export demand for automotives, which increased by 38% in the month. Even domestic sales, which had been expected to drop, held their ground and rose by 0.3%. Exports of automotives have risen as foreign manufacturers expand their operations in the country to take advantage of cheaper manufacturing costs. The auto industry is an important component of Mexico’s industrial production, accounting for around 10% of its total output.